Starting from the 2025 tax year, digital asset brokers in the United States (including PayPal) will be required to fulfill new reporting obligations. In simple terms, if you have conducted any sale, exchange, or other disposition of crypto assets in your PayPal wallet, PayPal will compile this information and send you Form 1099-DA by February 15 of the following year, while also reporting it to the IRS.
What does this mean? The IRS will have access to any gains or losses you realize from crypto asset dispositions. Therefore, if you have relevant transactions, it’s best to plan your taxes and keep records in advance. Especially for users with large transactions, it’s important to understand your tax obligations beforehand.
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ConfusedWhale
· 4h ago
Hmm... Now PayPal has started reporting us too. The IRS is really everywhere.
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ChainProspector
· 4h ago
Wow, PayPal is also starting to be an informant for the IRS? Everything's exposed now.
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GateUser-40edb63b
· 4h ago
Emma, IRS has really got their eyes on us now. PayPal has directly become a reporting tool.
Starting from the 2025 tax year, digital asset brokers in the United States (including PayPal) will be required to fulfill new reporting obligations. In simple terms, if you have conducted any sale, exchange, or other disposition of crypto assets in your PayPal wallet, PayPal will compile this information and send you Form 1099-DA by February 15 of the following year, while also reporting it to the IRS.
What does this mean? The IRS will have access to any gains or losses you realize from crypto asset dispositions. Therefore, if you have relevant transactions, it’s best to plan your taxes and keep records in advance. Especially for users with large transactions, it’s important to understand your tax obligations beforehand.